Why And How Give Cryptocurrency For Christmas
;It’s easy to give crypto as a Christmas present when it is up 20x year over year. It might, however, end up disappointing, even discouraging those whom it was given to when it turns out to collapse in price just a few months later. It is much more important and effective to do it after a significant drop when we all reasonably expect the prices of crypto to turn around and to ascend another round of its long-term growth.
Cryptocurrency present given now and worth tens of percent more in a few months is not only more genuinely generous (because you feel much more “pain’ giving it away), but is also much better to get the point across. Anyone who witnesses installing a mobile wallet and sweeping their first funds in a minute or two without any witnesses or third parties has to wonder why is the legacy financial system so surveillance-prone. Anyone who backs their wallet up with twelve words and realizes, that those words can store millions of dollars worth of value and you can transfer them in your head through any border must question how potent will capital controls be in the future. Anyone who learns how to earn and spend crypto online or offline anonymously will start to wonder when will states lose their ability to extort taxpayers. And finally, anyone who witnesses this medium of exchange appreciates in value due to its utility and scarcity defined by an open source algorithm and the right set of incentives has to question the very existence of central banks and their constantly depreciating paper notes.
There is one important thing to remember, however, which I learned from my own big mistake in the past. When I was giving away my first Bitcoins years ago (whether for Christmas or randomly to people whom I wanted to get curious in the phenomenon), I didn’t emphasize to people I was giving it to the necessity to back their wallet up. Unfortunately, as a result, many of those people ended up losing those funds. The tactics I’m going to use this Christmas is to attach a template for paper backup in the same envelope as the paper wallet. Hopefully, together with the wallet’s nudge, it will significantly increase the chance, that if those people end up sitting on a nicely appreciated crypto holding in the future, they will be able to spend it at a higher value even if they would have lost a phone or swapped their laptop in between.
If you are giving away crypto to the first time, or even repeated, but still inexperienced user this Christmas, please do the same. And when their crypto appreciates, make sure to point them to a couple of your favorite places or online services where they can spend it. Remember - it’s a medium of exchange first, store of value second. If you want to use the template, here it is. I’m unsurprisingly giving away BCH (using Bitcoin.com’s paper wallet), but of course, change it to your favorite cryptocurrency.